A project has a NPV of 15,000 when the cutoff rate is 10%. The annual cash flows are 20,505 on an investment of 50,000. What is the profitability index?
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- What is the NPV of a project with an initial investment of $100, a cash flow in one year of $105, and a discount rate of 10 percent?A project has an investment cost of $200,000 and a profitability index of 1.6. What is the net present value of the project? NPV=POD has a project with the following cash flows: Year Cash Flows 0 -$ 281,000 145,500 123 163,000 128,100 The required return is 8.3 percent. What is the profitability index for this project?
- A project is projected to have the following net income: Year 1 = $80,000; Year 2 = $40,000; Year 3 = –$30,000. The same project has an initial investment of $300,000 and will lose value at a rate of $100,000 per year. The numerator in the average accounting return method will be?A project that costs $50 million is expected to generate $20 million per year over the next 4 years. The project's cost of capital is 6%. a) Find the payback period (PP).b) Find the net present value (NPV).c) Find the internal rate of return (IRR).d) Find the modified internal rate of return (MIRR).A project requires an investment of $2,500 and has a net present value of $430. If the internal rate of return is 10%, what is the profitability index for the project? Multiple Choice 0.70 0.25 1.17 2.33
- A project requires an initial investment of $40 million. It generates cash flows of $25 million in one year and $27 million in two years. The projects required rate of return is 8% what is the project's profitability index?A firm evaluates all of its projects by applying the IRR rule. A project under consideration has the following cash flows: -$25,000 today (t=0); $11,000 after one year (t=1), 17,000 after two years (t=2); and 10,000 after three years (t=3). What is the Internal Rate of Return (“IRR”) for this project?Firm Xy has an investment project with annual cash flows of 20,000, 18,500, 21,500, and 12,350. The discount rate is 11.55%. What is the nominal payback period if the initial cost is 31,000? what is the discounted payback period if the initial cost is $24,000?
- The project NPV is 14.95. The initial investment 15m. The discount rate is 4.5% per annum. What is the Return on Capital and the Payback Period? In case you need additional information let me know.A project has an initial cost of P52,125, expected net cash inflows of P12,000 per year for 8 years, and a cost of capital of 12%. What is the project’s NPV? What is the project’s IRR? What is the project’s PI? What is the project’s payback period?What is the ERR for this project? Assume that = 12% and MARR = 20% per year. Is this project considered to be profitable? What is the simple payback period?